When you need additional heavy equipment for your growing company, you have an option to either buy or hire. Deciding which one is better should be simple, after weighing the pros and cons and evaluating your business’ capabilities, status and future plans. Your decision should help make your operations easier and benefit your business. Initial expense is a major consideration, but it is not the only determining factor.
Hiring is ideal if you will need the equipment for one-off jobs. Make sure you don’t need it long-term, otherwise, it could cost you more to hire repeatedly or if you have to extend the rental term for a project that goes longer than you presumed.
There are many benefits to hiring equipment, that’s why it has been a popular choice among construction companies. It is the better choice if you need the equipment for a shorter period. This is more cost effective if you don’t see the need for the machine on a regular basis. Another advantage of hiring is that you don’t have to worry about repairing or maintaining the equipment. The plant hire company will be the one to take care of the equipment, so you can save time and money. Here are other advantages of hiring:
- No transportation cost. If you need to transport the equipment, you do not have to shoulder the transportation expense.
- No storage cost. If you need the equipment on a site that is far away from your location, you can simply hire it from a supplier near the site and not worry about storage costs.
- Access to latest models. By hiring, you have the advantage of using the latest models that will benefit your business. You don’t have to put out large initial capital to purchase if you still don’t have the capability.
- Depreciation not an issue. When investing in equipment, the problem is that it can lose its value after several years. This will not be a problem if you just hire.
When you are sure you will have a place to store equipment for as long as you own it, buying can be cost-efficient. That is because storage costs can take a toll. Keep in mind that when you purchase, you will be the one to take care of the maintenance and repairs. By purchasing, you reap the following benefits:
- Having equipment when you need it. You do not know the demands of the business in the years to come. By investing in different equipment, you have a good selection at your disposal when the need arises.
- Save money long-term. If you use the equipment regularly for many years, the upfront cost of buying is still less than the amount you would spend on hiring. In case you don’t need it, you also have the option to rent it out to other companies.
Sourcing equipment and materials for construction requires a bit of strategy and research or your company might have to suffer the high price of equipment. When deciding to buy or rent equipment from a provide of plant hire in Preston, consider your business’ financial status, duration of the project, cost of ownership and the project’s demand for specialized equipment.